SAN DIEGO - Plastics supplier Planet Polymer Technologies Inc. acquired recycler Deltco of Wisconsin Inc. in exchange for 96,775 shares of stock, subject to a one-year trading restriction, and an amount of cash yet to be disclosed. Planet Polymer traded at $7.25 per share on Jan. 18. The acquisition, effective Jan. 1, represents ``a major step toward realizing Planet's goal of achieving full-scale production capabilities,'' said Robert Petcavich, 41, Planet Polymer chairman and chief executive officer.
Since 1991, Planet Polymer has developed degradable alternatives to conventional plastics. The firm employs 10 and has a 6,200-square-foot research facility in San Diego.
Planet Polymer realized net proceeds of $5.6 million from its initial public offering of stock in September and reported a loss of $1.2 million on revenues of $211,000 for the nine months ended Sept. 30.
Deltco employs 35 and generates annual sales of about $3.5 million recycling about 12 million pounds of polypropylene at a 35,000-square-foot facility in Ashland, Wis.
Jack Martinson, 38, who founded Deltco 10 years ago, remains as president of the operation, now a wholly owned subsidiary of Planet Polymer.